Comvita says KPMG's audit delays reporting of annual results

Honey products company Comvita says it has delayed reporting its annual results to no later than Friday of this week.

“As previously advised on Aug. 2, Comvita confirms that its net operating loss after tax for the year will be approximately $7.6 million,” the company told NZX.

The company was supposed to report its results today.

“Comvita also confirms its previous advice that, following a comprehensive internal review, no material issues in relation to the value of inventory on hand were identified,” it says.

However, the company is assessing whether or not “certain non-current assets” should be considered impaired and any value write-downs brought to account in the June financial statements.

“Comvita and the company’s auditor, KPMG, are working constructively to ensure the justification and methodology to be applied in this assessment is appropriate,” and that has meant the audit has taken more time than normally expected, Comvita says.

Earlier this month, chair Neil Craig told BusinessDesk that KPMG was doing its own valuation of the inventory, which the company said earlier this month is valued at $110 million.

Comvita shares closed yesterday at $2.85, down from $3.05 earlier this month before the company foreshadowed the annual loss and down 50 percent from a year ago.

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